Tino Go, Affiliate ASID, Allied AIA

The Inland Empire’s manufacturing sector is on a roll. In April, the region posted its fourth consecutive month of growth, with a Purchasing Managers Index of 63.5 – well above the 50-point benchmark that separates expansion from contraction. (For context, the national figure was 50.7). Production here even hit its highest point in two years. That kind of sustained momentum tells a story: local manufacturers are innovating, investing, and adapting, whether it’s in advanced food processing, aerospace components, or new material production. And while many don’t realize it, much of that work qualifies for the federal R&D tax credit. The credit isn’t just for tech startups or research labs. If a manufacturer is developing prototypes, testing new processes, refining production methods, or automating workflows, there’s a strong chance they’re doing R&D in the eyes of the IRS. Yet too often, these companies leave valuable credits on the table – funds that could be reinvested into operations, hiring, or further innovation. For CPAs in our region, this is a golden opportunity. By partnering with a specialty tax team, you can help clients claim these benefits and reinvest in our local economy, keeping the Inland Empire’s manufacturing engine running strong. The growth is happening, make sure the rewards stay here, too.

9

Is the PTET now obsolete for California business owners?   Does the changing of the state-and-local tax (SALT) cap from $10k to $40k make the passthrough entity tax credit (PTET) worthless?   The answer is a resounding "no" for several reasons. A few:   • Helpful for those who are not homeowners. Can utilize standard deduction and then still deduct some/most/all of SALT tax through PTET mechanism.   • Also, PTET can be used in the year of a business sale to capture SALT deductions that far exceed $40k.   Moral of the story for California business owners: A) Don't give up on PTET and B) Consider paying PTET installment #1 in California to preserve the right to use PTET. If you choose not to make the election, installment #1 is refundable! If your tax pro is not talking to you about CA PTET - let me know if you have questions!

5

I’ve reviewed decks for families deploying $200M+. The decision never comes from the deck. Founders arrive with perfect materials. Market size. Projections. Analysis. Gulf family offices decide before slide three. The deck matters. It shows you prepared. Proves you understand their portfolio and investment thesis. But it’s not what convinces them. Here’s what determines investment decisions: Did you study their portfolio before the meeting? Can you operate on their timeline? Does partnership fit make strategic sense? I watch families reject superior opportunities because founder optimised presentation over relationship work. And fund weaker businesses because trust was already built. The expensive version: perfecting materials for months while skipping the work that actually determines outcomes. Your deck proves you understand them. Your relationship work proves you’re worth investing in. Gulf capital invests in partnerships that make sense. The deck documents what’s already been decided.

107

47 Comments

As small companies grow so should their financial controls. Upgrading from QuickBooks to NetSuite is a common path. Below is a simple look at that optimization roadmap from the CFO/Controller point of view.

4

Are you running your business off your CPA’s tax plan? If so, you’re not planning for profit — you’re just reacting to taxes. In this video, we’ll clear up one of the biggest misconceptions in small business finance: 👉 Tax planning is NOT profit planning. You’ll learn: ✅ What real profit planning is — and why it must come first 💸 How tax planning (done too early) can choke your growth 📊 Why 10–15% pretax profit is your real financial foundation 👔 How to align owner pay with market-based wages (not IRS games) Here’s the truth: 📉 Tax savings don’t build wealth — profit does. 📊 A tax return isn’t a financial strategy. 💡 And a great CPA can’t fix a broken business model. If your goal is to grow, pay yourself, and build capital — profit comes first. What To Do Next: 📈 Set a minimum 10% pretax profit target 💼 Pay yourself a market-based wage 💰 Build a cash-flow forecast that includes taxes — not one designed to dodge them 🔥 “Don’t let your CPA’s tax plan become your business plan.” Go to livingwaterconsulting.com if you want to profit in your business.

3

Most businesses don’t need a full-time CFO, CMO, or COO. They need: • Experience • Perspective • Support at the right time 𝗧𝗵𝗮𝘁’𝘀 𝘄𝗵𝗲𝗿𝗲 𝗳𝗿𝗮𝗰𝘁𝗶𝗼𝗻𝗮𝗹 𝗹𝗲𝗮𝗱𝗲𝗿𝘀𝗵𝗶𝗽 𝘄𝗼𝗿𝗸𝘀 — 𝘄𝗵𝗲𝗻 𝗱𝗼𝗻𝗲 𝗽𝗿𝗼𝗽𝗲𝗿𝗹𝘆. Find Your Fractional connects business owners with vetted fractional experts, without long-term commitments or opaque fees. Smarter growth. Less risk.

28

2 Comments